Deborah owens
National Speaker, Financial Commentator, Author and Entrepreneur

Author Profile
Deborah is a financial commentator, author and entrepreneur. A 20-year veteran of the financial services industry her passion is helping people of all incomes build wealth.
Deborah is author of Confident Investing; A Wealth Building Guide For Women and "Nickel and Dime Your Way to Wealth".

Here are some strategies you can use to increase your risk tolerance without losing sleep at night.

Wealthy Mindset Tip #1

Practice makes perfect. On the program Dancing With the Stars they allow you to observe the stars learning the routines and it takes hours of practice. You can use the same approach to learn how to invest. You can establish a model or what I like to call a practice portfolio. Visit money.com to set up your own portfolio. You can research stocks and watch how they perform without risking your money. As you acquire more experience you will gain the confidence to make an actual investment .

Wealthy Mindset Tip #2

Set it and forget it. Invest small sums periodically in order to take advantage of dollar cost averaging. If you are investing through your retirement plan at work through payroll deduction you are already using this method of buying shares of stock or mutual funds at various prices and minimizing your risk of buying the highest levels. In other words, you don't have to think about when to make a purchase and it becomes a habit that can pay rewards over time.

Wealthy Mindset Tip #3

Hedge your bet. One of the most difficult decisions to make is when to invest a lump sum of money from a windfall. It's a good idea to invest a portion and to set up the same type of periodic investment plan in tip #2. If you are investing for the long term but are afraid of what can happen in the short term many investment companies will allow you to set up systematic withdrawals from a money market fund and direct them into other stock funds at a specific time of the month. This method will also allow you to average your costs and prevent you from forgetting to invest altogether.